Worldwide server revenues up 0.6% in Q2 2006

According to IDC, factory revenue in the worldwide server market grew at 0.6% YTY to $12.3 bln in Q2 2006, marking a return to positive overall revenue growth for the first time since Q3 2004. Demand in the US and Asia/Pacific (excluding Japan) led to positive results in these markets, with year-over-year growth of 3.6% and 2.6% respectively, while weaker results in EMEA and Japan brought down the overall growth rate. Volume server revenue grew 6.2% YTY and continues to represent the only growth segment for the server market overall. This was the third consecutive quarter of single-digit growth for the volume server market. The midrange enterprise server segment experienced YTY revenue growth of -3.5% ? the third consecutive quarterly decrease for the segment. Meanwhile, the high-end enterprise server market declined 6.9% YTY, the seventh consecutive quarter of reduced spending for this segment.